Why 90% of Indian Real Estate Buyers Lose Money: Expert Reveals the Top 1% Strategy
Gurugram-based real estate advisor Aishwarya Shri Kapoor explains why 90% of Indian homebuyers are losing money and how the top 1% build wealth through strategic investments.
Real EstateProperty InvestmentWealth BuildingFinancial AdviceReal Estate StrategyReal EstateJun 23, 2025
Her blunt assessment: bad projects, emotional decisions, and a lack of strategy are costing ordinary Indians their financial futures. “You visited seven projects in a day, asked only about price per square foot, and picked the broker with the biggest discount,” she wrote. “That’s not investing. That’s gambling.”
Kapoor’s critique focuses on what she calls “India’s biggest real estate problem”: emotion-driven purchases without due diligence. Few buyers ask about title clarity, rental absorption, or exit timelines. Instead, the focus is on launches, discounts, and cosmetic perks.
By contrast, the top 1% of investors operate like institutions. They buy during pre-launch, negotiate hard, and plan exits within 3–5 years, often realizing 2.5x to 4x returns. “That’s not luck. That’s design,” she said.
She outlined a formula the elite follow: “Product + Timing + Zone + Brand + Exit Path = ROI.” If any one of those elements is missing, buyers are stuck, especially in oversupplied or underdeveloped areas like Tier 2 parts of Gurgaon.
Kapoor also flagged 2025’s hottest segments for capital: SPR plots, branded resale, Dwarka Expressway mid-stage assets, SCOs with strong rental demand, and warehousing near UER-2.
Her advice to buyers? Stop thinking like a customer and start thinking like capital. Ask what’s underpriced with 3x resale potential — not just what’s ready to move in. “Your first property should make you money,” she wrote. “And your second? Should free you from needing a third job.”
By adopting a more strategic and informed approach, Kapoor believes that more Indian homebuyers can avoid financial pitfalls and build wealth through real estate investments.
Frequently Asked Questions
What is the main reason most homebuyers in India lose money?
According to Aishwarya Shri Kapoor, the main reason is emotion-driven purchases without due diligence, focusing on launches, discounts, and cosmetic perks rather than key factors like title clarity, rental absorption, and exit timelines.
What strategy do the top 1% of investors use in the real estate market?
The top 1% of investors buy during pre-launch, negotiate hard, and plan exits within 3–5 years, often realizing significant returns. They follow a formula: Product + Timing + Zone + Brand + Exit Path = ROI.
What are the hottest segments for real estate investment in 2025?
Kapoor flags SPR plots, branded resale, Dwarka Expressway mid-stage assets, SCOs with strong rental demand, and warehousing near UER-2 as the hottest segments for capital in 2025.
What advice does Kapoor give to potential homebuyers?
Kapoor advises buyers to stop thinking like customers and start thinking like capital. They should ask what’s underpriced with 3x resale potential, not just what’s ready to move in.
How can homebuyers avoid financial pitfalls in the real estate market?
By adopting a more strategic and informed approach, focusing on key factors like title clarity, rental absorption, and exit timelines, homebuyers can avoid financial pitfalls and build wealth through real estate investments.
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